Tax Essentials & S Corporation deep dive

Build skills in individual taxation planning

Establish a strong set of core skills necessary for all areas of individual client service, including ways to use concepts during tax planning to reduce taxes for individual clients.

Learn about basic and intermediate individual client services, including these areas of focus:

• Income
• Deductions
• Credits
• Passive losses
• AMT
• Estimated payments

Tips to help clients maximize their tax benefits

Courses are designed to help professionals advise clients on the tax implications of the following:

• Sales of capital gain assets
• Stock options
• IRA conversions
• Divorces
• Self-employment
• College planning

Courses included in this series:

• Individual Tax Fundamentals
• Intermediate Individual Taxation

Who Will Benefit

CPAs working with individual tax clients

Key Topics

• Medicare surtax on net investment income
• Compensation issues, deferred plans and fringe benefits
• Distributions from IRAs and other qualified plans
• Passive losses
• Virtual currency
• Property transactions — capital vs. ordinary income
• Itemized deductions
• Maximizing tax benefits for sales of capital gain assets and real property
• Maximizing tax benefits for personal residence transactions

Learning Outcomes

• Identify individual retirement account (IRA) and qualified plan distributions.
• Recognize the taxation of virtual currency.
• Recall how health savings accounts (HSAs) work.
• Recall the net investment income tax (NIIT) on unearned income.
• Determine whether an activity is passive or active.
• Determine the allowable deductions for vacation homes.
• Identify different recapture provisions.
• Determine the proper tax treatment for transfers of property between spouses incident to a divorce.

S corporation taxation, from basic to advanced

You’ll learn both basic and advanced S corporation concepts. You also learn to apply those concepts during tax planning to reduce taxes for small business clients.

Step back and assess the S corporation status

Not all entities are fit for S corporation status. Through the series, you encounter situations where the S corporation election is and is not advantageous for a business. You also learn:

• Requirements to elect S corporation status
• Ongoing requirements to maintain S corporation status
• Termination of S corporation status, voluntarily or involuntarily

The course also discusses core matters related to S corporations:

• Compensation to shareholder-employees
• Pass-through income and distributions
• Basis
• Passive losses
• Fringe benefits

Who Will Benefit

Tax professionals seeking in-depth training on S corporation income taxes

Key Topics

• Advantages and disadvantages of S corporations
• S corporation tax on built-in gains
• S corporation distributions
• Basis in S corporation stock
• Qualified subchapter S subsidiaries
• Section 199A and the qualified business income deduction
• Reasonable compensation
• Depreciation, Section 179, and bonus depreciation

Learning Outcomes

• Recognize when the S election becomes effective.
• Identify shareholder consent rules and causes of invalid elections.
• Recognize events causing involuntary termination.
• Recognize when an S corporation is subject to tax at the entity level.
• Apply the distribution ordering rules when an S corporation has accumulated earnings and profits.
• Apply the rules relating to qualified Subchapter S subsidiaries (QSubs).
• Differentiate the advantages available for small businesses based on entity type.
• Apply the four tiers of business losses for noncorporate taxpayers.